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                                  CHAPTER 1


INTRODUCTION: Consumer Buying Behavior is the behavior that a consumer
display while buying the product or a service. Each and every consumer has his/
her own buying behavior that he displays it during purchase of different products.
This behavior displayed by the consumer is the result of a number of influences
which he/she receives from the environment. These influences can be
categorized into four factors viz. Cultural factors, Social factors, Personal factors
and Psychological factors.
Cultural Factors: - culture, subculture and social classes are particularly
important in buying behavior. Culture is the fundamental determinant of a
person’s wants and behavior. Each culture consists of smaller subcultures that
provide more specific identification and socialization of its members. Subculture
includes nationalities, religions, racial groups and geographic regions.
Social Factors: - In addition to cultural factors a consumer’s behavior is
influenced by such social factors as reference groups, family and social roles and
statuses. A person’s reference group consists of all the groups that have a
direct (face to face) or indirect influence on the person’s attitudes or behavior.
Groups that have direct influence on a person is called as membership groups.
Some membership groups are also called as primary groups, such as family,
friends, neighbors and coworkers with whom the person interacts fairly
continuously and informally. People also belong to secondary groups such as
religious, professional and trade union groups which tend to be more formal and
require less continuous interaction. Aspirational groups are those a person
hopes to join; dissociative groups are those whose values and behavior an
individual rejects. The family is the most important consumer buying
organization in society, and family members constitute the most influential
primary reference group. A person participates in many groups-families, clubs,
organizations. The persons position in each group can be defined in terms of



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role and status. A role consists of the activities a person is expected to perform.
Each role carries a status.
Personal Factors: - A buyer’s decisions are also influenced by personal
characteristics. These include the buyer’s age in the life cycle, occupation,
economic circumstances, lifestyle and personality and self concept.
People buy different goods and services over a lifetime. They eat baby food in
the early years, most foods in the growing matured years and special diet in the
later years.
Occupation also influences consumption patterns. A blue collar worker may buy
work clothes, work shoes and lunch boxes. A company president may buy
expensive suits, air travel and country club membership.
People from same subculture, social classes and occupation may lead quite
different lifestyles. A lifestyle is a person’s pattern of living in the world expressed
in activities, interest and opinions.


Psychological Factors: - A person’s buying choices are influenced by four
major factors viz. motivation, perception, learning, believes and attitudes.


In the light of growing competition in the Indian retail industry each and every
company is trying its best to attract new customers as well as at the same time
retain the existing customers. Hence this can be done by keeping a track on the
buying behavior of the customers. Therefore my topic on buying behavior of
consumer shows the different factors which influence the consumer buying
behavior while shopping.




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The Retail Industry: - India's vast middle class and its almost untapped retail
industry are key attractions for global retail giants wanting to enter newer
markets. Driven by changing lifestyles, strong income growth and favourable
demographic patterns, Indian retail is expected to grow 25 per cent annually.

Modern retail in India could be worth US$ 175-200 billion by 2016. With the
economy booming, competition in the marketplace is fierce. According to 'Retail
in India Getting Organised to Drive Growth', a report by AT Kearney and the
Confederation of Indian Industry, retail is one of India's fastest growing industries
with a 5 per cent compounded annual growth rate and expected revenues of US$
320 billion in 2007. Rising incomes, increasing consumerism in urban areas and
an upswing in rural consumption will fuel this growth to around 7-8 per cent.

KSA-Technopak, a retail consulting and research agency, predicts that by
2010, organised retailing in India will cross the US$ 21.5-billion mark from
the current size of US$ 7.5 billion.

Retail space

Retailers in India are the most aggressive in Asia in expanding their businesses,
thus creating a huge demand for real estate. Their preferred means of expansion
is to increase the number of their outlets in a city, and also expand to other
regions, revealed the Jones Lang LaSalle third annual Retailer Sentiment
Survey-Asia.

Deutsche Bank's research report on 'Building up India' says India's burgeoning
middle class will drive up nominal retail sales through 2010 by 10 per cent per
annum. The country may have 600 new shopping centres by 2010.

Food retail

Food dominates the shopping basket in India. The US$ 6.1 billion Indian foods
industry, which forms 44 per cent of the entire FMCG sales, is growing at 9 per


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cent and has set the growth agenda for modern trade formats. Since nearly 60
per cent of the average Indian grocery basket comprises non-branded items, the
branded food industry is homing in on converting Indian consumers to branded
food.

The mobile revolution

The retail market for mobile phones -- handset, airtime and accessories -- is
already a US$ 16.7 billion business, growing at over 20 per cent per year. In
comparison, the consumer electronics and appliance market is worth US$ 5.6
billion, with a growth rate that is half of the mobile market.

Kids retail

When it comes to Indian children, retailers are busy bonding--and branding:

Monalisa, the Versace of kids is coming to India.

Global lifestyle brand Nautica is bringing Nautica Kids.

International brand Zapp tied up with Raymond to foray into kids' apparel.

Disney launched exclusive chains which stock character-based stationery.

Pantaloon's joint venture with Gini & Jony will set up a retail chain to market kids'
apparel.

Swiss kidswear brand Milou is collaborating with Tirupur-based Sreeja Hosieries.

Turner International India Pvt Ltd. will launch Cartoon Network Townsville and
Planet POGO--two theme parks designed around its channels--in the National
Capital Region.




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Sahara One Television has also signed a Memorandum of Understanding to
source content from Spacetoon Media Group, Middle East's largest kids'
entertainment brand for animation and live action content.

Leading the kids' retail revolution is the apparel business, which accounts for
almost 80 per cent of the revenue, with kids' clothing in India following
international fashion trends. According to research firm KSA Technopak, the
branded segment comprises US$ 701.7 million of the total kids' apparel market-
size of over US$ 3 billion.

Industry experts say kids' retailing will touch annual growth of 30-35 per cent.
Toys, stationary, sportswear, outerwear, tailored clothing, eyewear, watches,
fragrance, footwear, theme parks, TV channels… the segment is growing rapidly
at 10 per cent per annum. Margins are in the range of 20-25 per cent (for dealers
and distributors), while companies enjoy an average gross margin of about 10
per cent.

Agricultural retail

Agriculture across India is heralding the country's second Green Revolution. 14
states, including Maharashtra, Punjab, Andhra Pradesh and Rajasthan amended
the Agricultural Produce Marketing Committee (APMC) act this year, along the
lines of the Model APMC Act, '02, which allows farmers to sell their produce
directly to buyers offering them the best price. Agricultural sectors such as
horticulture, floriculture, development of seeds, animal husbandry, pisciculture,
aqua culture, cultivation of vegetables, mushroom under cultivated conditions
and services related to agro and allied sectors are open to 100 per cent FDI
through the automatic route.

For its e-Choupal scheme, ITC built internet kiosks in rural villages so farmers
can access latest information on weather, current market prices, foods-in-
demand, etc.



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With a US$ 5.6 billion, multi-year investment in agriculture and retail, Reliance
Retail will establish links with farms on several thousand acres in Punjab, West
Bengal and Maharashtra.

FieldFresh, planning to become India's first large-scale exporter of produce, will
annually pay farmers over US$ 30,000 to lease land for vegetables, to hire
tractors and to pay their workers.

Besides a five-year program with the Punjab government to provide several
hundred farmers with four million sweet-orange trees for its Tropicana juices by
2008, PepsiCo--with agriculture exports worth US$ 40 million--also introduced
farmers to high-yielding basmati rice, mangoes, potatoes, chilies, peanuts, and
barley for its Frito-Lay snacks.

Export potential and a rapidly growing domestic demand for reliable produce
from new supermarket chains is driving change. With 77 per cent of India's
population relying on agriculture for a living, improved efficiency and new
markets can benefit a large number of people.

International retailers

The Australian government's National Food Industry Strategy and Austrade
initiated a test marketing food retail in India wherein 12 major Australian food
producers have tied up with India-based distributor AB Mauri to sell their
products directly at retail outlets.

The largest-ever 150-member British business delegation in India committed
investments in the areas of food processing, agri retail and manufacturing. It is
also likely to press for the liberalisation of sectors like financial & legal services
and retail.




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US-based home delivery and logistics company, Specialised Transportation Inc,
will enter the Indian market through a strategic alliance with Patel Retail, a
subsidiary of Patel Integrated Logistics.

Among other big international players, Wal-Mart has announced its plans for
India in partnership with Bharti, Tesco is sure to try again, and Carrefour too
might finally find the right partner.

Retail reform

The Government regulations allow 100 per cent FDI in cash and carry through
automatic route and 51 per cent in single brand. Besides, the franchise route is
available for big operators. Now, the Government also proposes further
liberalisation in the retail sector allowing 51 per cent FDI in consumer electronics
and sports goods.




The retail road ahead

The Indian retail market is estimated at US$ 350 billion. But organised retail is
estimated at only US$ 8 billion. However, the opportunity is huge--by 2010,
organised retail is expected to grow to US$ 22 billion. With the growth of
organised retailing estimated at 40 per cent (CAGR) over the next few years,
Indian retailing is clearly at a tipping point. India is currently the ninth largest retail
market in the world. And it is names of small towns like Dehradun, Vijayawada,
Lucknow and Nasik that will power India up the rankings soon.



Indian retail industry is going through a transition phase. Most of the retailing in
our country is still in the unorganized sector. The spread out of the retails in US
and India shows a wide gap between the two countries. Though retailing in India
is undergoing an exponential growth, the road ahead is full of challenges.




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What is retailing?


The word "Retail" originates from a French-Italian word. Retailer-someone who
cuts off or sheds a small piece from something. Retailing is the set of activities
that markets products or services to final consumers for their own personal or
household use. It does this by organizing their availability on a relatively large
scale and supplying them to customers on a relatively small scale. Retailer is a
Person or Agent or Agency or Company or Organization who is instrumental in
reaching the Goods or Merchandise or Services to the End User or Ultimate
Consumer.


SCENARIO OF RETAILING IN INDIA



Retailing is the most active and attractive sector of last decade. While the
retailing industry itself has been present since ages in our country, it is only the
recent past that it has witnessed so much dynamism. The emergence of retailing
in India has more to do with the increased purchasing power of buyers,
especially post-liberalization, increase in product variety, and increase in
economies of scale, with the aid of modern supply and distributions solution.


Indian retailing today is at an interesting crossroads. The retail sales are at the
highest point in history and new technologies are improving retail productivity.
though there are many opportunities to start a new retail business, retailers are
facing numerous challenges.




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KEY CHALLENGES:


1) LOCATION:
"Right Place, Right choice"
Location is the most important ingredient for any business that relies on
customers, and is typically the prime consideration in a customers store choice.
Locations decisions are harder to change because retailers have to either make
sustainable investments to buy and develop real estate or commit to long term
lease with developers. When formulating decision about where to locate, the
retailer must refer to the strategic plan:


* Investigate alternative trading areas.
* Determine the type of desirable store location
* Evaluate alternative specific store sites


2) MERCHANDISE:
The primary goal of the most retailers is to sell the right kind of merchandise
and nothing is more central to the strategic thrust of the retailing firm.
Merchandising consists of activities involved in acquiring particular goods and
services and making them available at a place, time and quantity that enable
the retailer to reach its goals. Merchandising is perhaps, the most important
function for any retail organization, as it decides what finally goes on shelf of
the store.


3) PRICING:
Pricing is a crucial strategic variable due to its direct relationship with a firm's
goal and its interaction with other retailing elements. The importance of pricing
decisions is growing because today's customers are looking for good value
when they buy merchandise and services. Price is the easiest and quickest
variable to change.

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4) TARGET AUDIENCE:
"Consumer the prime mover"
"Consumer Pull", however, seems to be the most important driving factor behind
the sustenance of the industry. The purchasing power of the customers has
increased to a great extent, with the influencing the retail industry to a great
extent, a variety of other factors also seem to fuel the retailing boom.


5) SCALE OF OPERATIONS:
Scale of operations includes all the supply chain activities, which are carried out
in the business. It is one of the challenges that the Indian retailers are facing. The
cost of business operations is very high in India.




PRESENT INDIAN SCENARIO


* Unorganized market: Rs. 583,000 crores
* Organized market: Rs.5, 000 crores
* 5X growth in organized retailing between 2000-2005
* Over 4,000 new modern Outlets in the last 3 years
* Over 5,000,000 sq. ft. of mall space under development
* The top 3 modern retailers control over 750,000 sq. ft. of retail space
* Over 400,000 shoppers walk through their doors every week
* Growth in organized retailing on par with expectations and projections of the
last 5 Years: on course to touch Rs. 35,000 crores (US$ 7 Billion) or more by
2005-06




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Major players


- Food and grocery
- Fashion
- Others
- Food world
- Shoppers' Stop
- Vivek's
- Subhiksha
- Westside
- Planet M
- Nilgris
- Lifestyle
- Music World
- Adani- Rajiv's
- Pyramid
- Crossword
- Nirma-Radhey
- Globus
- Life spring


TRADITIONAL RETAIL SCENE IN INDIA
India is the country having the most unorganized retail market. Traditionally the
retail business is run by Mom & Pop having Shop in the front & house at the
back. More than 99% retailers function in less than 500Sq.Ft of area. All the
merchandise was purchased as per the test & vim and fancies of the proprietor
also the pricing was done on ad hock basis or by seeing at the face of customer.
Generally the accounts of trading & home are not maintained separately. Profits
were accumulated in slow moving & non-moving stocks which were to become
redundant or consumed in-house. Thus profits were vanished without their

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knowledge. The Manufactures were to distribute goods through C & F agents to
Distributors & Wholesalers. Retailers happen to source the merchandise from
Wholesalers & reach to end-users. The merchandise price used to get inflated to
a great extent till it reaches from Manufacturer to End-user. Selling prices were
largely not controlled by Manufacturers. Branding was not an issue for majority of
customers. More than 99% customers are price sensitive & not quality or Brand
Sensitive at the same time they are Brand conscious also. Weekly Bazaar in
many small tows was held & almost all the commodities were on the scene
including livestock. Bargaining was the unwritten law of market. Educational
qualification level of these retailers was always low. Hence market was controlled
by handful of distributors &/or Wholesalers. Virtually there was only one format of
retailing & that was mass retail. Retailer to consumer ratio was very low, for all
the categories without exception. Varity in terms of quality, Styles were on
regional basis, community based & truly very low range was available at any
given single place. Almost all the purchases / (buying) by mass population was
need oriented & next turn may be on festivals, Marriages, Birthdays & some
specific occasions.


Impulsive buying or consumption is restricted to food or vegetables etc. Having
extra pair of trousers or Shirts or Casuals & Formals & leisure wear & sports
wear & different pair of shoes for occasions is till date is a luxury for majority
population except for those living in Metros. Purchasing power of Indian urban
consumer is very low and that of Branded merchandise in categories like
Apparels, Cosmetics, Shoes, Watches, Beverages, Food, Jewellery, are slowly
seeping into the lifeline of Indian City folks. However electronic & electrical home
appliances do hold appropriate image into the minds of consumers. Brand name
does matter in these white goods categories. In the coming times also majority of
organized retailers will find it difficult to keep balance with rest of the unbranded
retail market which is very huge.




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INDIAN RETAIL IS MOVING INTO SECOND GEAR


1) FIRST GEAR:
(Create awareness)
* New retailers driving awareness
* High degree of fragmentation
* Real estate groups starting retail chains
* Consumer expecting 'value for money' as core value


2) SECOND GEAR:
(Meet customer expectations)
* Consumer-driven
* Emergence of pure retailers
* Retailers getting multi-locational and multi-format
* Global retailers evincing interest in India


3) THIRD GEAR:
(Back end management)
* Category management
* Vendor partnership
* Stock turns
* Channel synchronization
* Consumer acquisition
* Customer relation's management


4) FOURTH GEAR:
(Consolidation)
* Aggressive rollout
* Organized retail acquitting significant share
* Beginning of cross-border movement
* Mergers and acquisitions

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                                  CHAPTER 2


RESEARCH DESIGN: Research design is a frame work or blueprint for
conducting the market research project. It details the procedure necessary for
obtaining the information needed to structure or solve marketing research
problem.


Statement of the problem: -
To determine the buying behavior of the consumer with respect to ladies ethnic
section.


Significance of the study: -
The study done on the above topic will give an idea of how the shopping
behavior of the customers’ changes and what behavior they display while
shopping. The project will be help full in finding out what strategies to make in
order to fulfill the needs and wants of customers and create a competitive
advantage in the retail market.


Objectives:-
   •   To determine the customer profile.
   •   To determine the shopping behavior/buying behavior of the customers.
   •   To determine the brand preferences and reasons thereof.


Operational concept:-
Descriptive study- A type of conclusive research which has it’s major objective
the description of something – usually market characteristics or functions.
Population -The aggregate of all the elements, sharing some common set of
characteristics, comprising the universe for the purpose of the marketing
research problem.

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Sample – A subgroup of the elements of the population selected for participation
in the study.
Primary data – Information that is collected on field in the form of surveys,
interviews and observation.
Secondary data – Information that is collected through journals, magazines,
company brochures, previous reports and government publishing.
Questionnaire – Questionnaire is a part of survey where in questions are framed
in a structured manner in order to draw information from the respondents
regarding the topic.
Scaling and Measurement – The assignment of numbers or other symbols to
characteristics of objects according to certain prespecified rules is called
measurement. The generation of a continuum on which measured objects are
located.


Hypothesis:-
Ho: the proportion of sample who ranked Shoppers Stop 1st is 50%.
H1: the proportion of sample who ranked Shoppers Stop 1st is more then 50%.


Scope of the study:-
The population was limited to only those customers who came to ladies ethnic
section only.


Methodology:-
The type of study used is Descriptive Study
Population – all those customers who came to shoppers stop in a month (April
2007).
Sample size – 180
Sampling technique – Convenience Sampling
Primary data – primary data was collected using a structured questionnaire.
Secondary data – secondary data was collected from the company website and
brochure, marketing text books.

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Tools and Techniques of data collection:-
The technique used to collect the primary data was a Survey. A well structured
questionnaire was prepared and given to the respondents to be filled.
The information obtained from the questionnaire was edited, cross tabulated and
an appropriate test was applied to get the result.
The test used was Z test.


Limitations:-
   •   Limited time was given for data collection.
   •   Some of the customers were not cooperative.
   •   Responses from the customers were different during weekdays and
       weekends.
   •   The findings were based on the information given by the customers and
       can be biased.




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                                  CHAPTER 3


COMPANY PROFILE:-


History - The foundation of Shoppers' Stop was laid on October 27, 1991 by the
K. Raheja Corp. group of companies. Being amongst India's biggest hospitality
and real estate players, the Group crossed yet another milestone with its lifestyle
venture - Shoppers' Stop.

From its inception, Shoppers' Stop has progressed from being a single brand
shop to becoming a Fashion & Lifestyle store for the family. Today, Shoppers'
Stop is a household name, known for its superior quality products, services and
above all, for providing a complete shopping experience.

With an immense amount of expertise and credibility, Shoppers’ Stop has
become the highest benchmark for the Indian retail industry. In fact, the
company’s continuing expansion plans aim to help Shoppers’ Stop meet the
challenges of the retail industry in an even better manner than it does today.

Nature – Shoppers Stop is a retail store which sells multiple branded products.

Products and Services – Shoppers Stop deals with

Apparels (Men, Women and Children)

      -Ladies western wear, Ladies ethnic wear, Men’s formal, Men’s
semiformal, Casual wear, Sports wear and Kids wear.

Accessories (men and women)

      -Cosmetics, Perfumes, Goggles, Watches, Handbags, Footwear, Fashion
Jewellary.

Gifts and Toys.

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     Organizational Structure -


                                        MANAGING
                                        DIRECTOR


                                      CHIEF EXECUTIVE
                                          OFFICER



                                       CHIEF FINANCE
                                          OFFICER



           General          General        General      General        General
           manager          manager        manager      manager        manager



           ROM              ROM




DM               DM


     CSE              CSE




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Competitors – The major competitors of Shoppers Stop are:-
Westside.
Central.
Lifestyle.
Some of the other competitors are:-
Pantaloons.
Globus.
Big Bazar.


Number of branches – Currently Shoppers Stop has twenty branches across
India and they are:-
Delhi- Ansal Plaza.
Ghaziabad – Indirapuram.
Gurgaon - Metropolitian Mall.
Jaipur - Malviya Nagar.
Lucknow - Gomti Nagar.
Bangalore - Bannerghatta Road.
Bangalore - Bannerghatta Road.
Chennai – Chetpet.
Mumbai – Andheri.
Mumbai – Bandra.
Mumbai – Chembur.
Mumbai – Juhu.
Mumbai – Malad.
Mumbai – Mulund.
Pune - Shivaji Nagar.
Pune – Camp.
Kolkata - Forum Mall.
Kolkata - Salt Lake City.

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                                  CHAPTER 4


                    ANALYSIS AND INTERPRETATION


In this chapter analysis carried out on the research is reported
                       AGE, GENDER AND OCCUPATION


                     SELF EMPLOYED             SALARIED              STUDENTS
                      Males Females          Males Females         Males Females
   <20 YEARS            -      -               -     0.6%          3.2%    13%
  21-30 YEARS          2%     2%             12%     44%           1.2%    14%
  31-40 YEARS           -     2%              3%      2%             -     0.6%
   41> YEARS          0.6%     -             0.6%      -             -       -

                                   Table no: 1


80% of the customers who come to shoppers stop are females and 20% are
males.
75% among them fall under the age category of 21-30 years.
62% of the customers are salaried.
         -44% are females and 12% are males.
31% of the customers are students.
         -27% are females and 4% are males.
6% are self employed.
13% are housewives.




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                   INCOME, OCCUPATION AND GENDER


                              SELF EMPLOYED         SALARIED
                               Males Females      Males Females
            5000-15000          1%     1%          1%      9%
           15000-25000          2%     2%         10%     36%
           25000-35000          1%     1%          4%     10%
           35000-45000           -      -          2%      8%
              45000>            1%     1%          6%      5%



                                  Table no:2


Among the salaried customers 36% are females and 10% are males both have a
monthly income of Rs 15000-25000.
It is seen that females accounts to the majority salary earner when compare to
males who contribute to only 10% among total salaried customers.




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              FREQUENCY OF SHOPPING AND OCCUPATION




                    SELF         SALARIED          STUDENTS     HOUSEWIVES
                 EPMLOYED
  ONCE A            1%              16%              10%              7%
   WEEK
  ONCE IN            2%             9%                5%              1%
TWO WEEKS
 ONCE IN               -            6%                2%              0.5%
   THREE
  WEEKS
  ONCE A             3%             23%              11%              3%
  MONTH

                                 Table no: 3


40% of the customers shop at least once a month.
      -23% are salaried and 11% are students.
34% of the customers shop once a week.
      -16% are salaried and 10% are students.
Referring from the previous slide salaried customers had monthly income of Rs
15000-25000 and belonged to the age category of 21-30 years.




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 25

 20

 15

 10

  5

  0
      ONCE A WEEK        ONCE IN TWO        ONCE IN THREE    ONCE A MONTH
                           WEEKS               WEEKS

             SELF EMPLOYED    SALARIED      STUDENTS   HUOSEWIVES



                                 Graph no: 1




           FREQUENCY OF SHOPPING, OCCUPATION AND TIME

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                         (Self Employed and Salaried)


                                SELF EMPLOYED                    SALARIED
                              10am- 1pm-5 5pm-1          10am-     1pm-5 5pm-1
                              1pm      pm         0pm     1pm       pm       0pm
  ONCE IN A WEEK               -       2%          -       -        9%       18%
ONCE IN TWOWEEKS               -       1%         2%      2%        3%       12%
  ONCE IN THREE                -        -          -       -        4%        5%
       WEEKS
    ONCE A MONTH               -       1%         3%       5%       9%       23%

                                    Table no: 4


63% of the shoppers prefer shopping between 5pm-9pm among whom 92% are
salaried.
29% prefer shopping between 1pm-5pm among whom 86% are salaried.




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60
50
40
30
20
10
0
             10AM-1PM                 1PM-5PM                     5PM-9PM

                              SELF EMPLOYED     SALARIED


                                      Graph no: 2




                FREQUENCY OF SHOPPING, OCCUPATION AND TIME
                               (Students and Housewives)

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                                        STUDENTS                      HOUSEWIVES
                                   10am- 1pm-5 5pm-1              10am- 1pm-5 5pm-1
                                    1pm        pm          0pm     1pm          pm    0pm
       ONCE IN A WEEK                -        12%          13%      -           9%    9%
     ONCE IN TWOWEEKS                -         4%          7%       -           3%     -
       ONCE IN THREE                 -         1%          3%       -           1%     -
            WEEKS
         ONCE A MONTH               3%        12%          13%       -          4%     4%

                                          Table no: 5
     49% of the shoppers prefer shopping between 5pm-9pm, among them 73% are
     students.
     46% of the shoppers like to shop between 1pm-5pm, among whom 63% are
     students.




40

30

20

10
                                               26                Projectsformba.blogspot.com
0                10AM-1PM                 1PM-5PM                        5PM-10PM


                                   STUDENTS   HOUSEWIVES
Projectsformba.blogspot.com




                              Graph no: 3




          FREQUENCY OF SHOPPING OF EACH SALARY GROUP




                                  27        Projectsformba.blogspot.com
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                    ONCE A        ONCE IN        ONCE IN          ONCE A
                     WEEK      TWO WEEKS          THREE           MONTH
                                                  WEEKS
 5000-15000           2%            5%             1%                5%

15000-25000          15%            7%              4%              21%

25000-35000           4%            2%              3%               9%

35000-45000           4%            1%              1%               4%

   45000>             5%            4%              2%               2%



                                Table no: 6


63% prefer shopping in malls among whom 33% are salaried and 20% students.
33% like shopping in both stores and malls among whom 19% are salaried and
8% are students.




            OCCUPATION AND PREFERED PLACE OF SHOPPING


                     SELF       SALARIED       STUDENTS      HOUSEWIVES
                   EMPLOYED

                                     28           Projectsformba.blogspot.com
Projectsformba.blogspot.com


     STORE            0.5%          2%                  -            0.5%


     MALLS            3%           33%                 20%            7%


     BOTH             1.5%         19%                 8%            4.5%



                                 Table no: 7


 63% prefer shopping in malls among whom 33% are salaried and 20% students.
 33% like shopping in both stores and malls among whom 19% are salaried and
 8% are students.




40

30

20

10

0                                    29            Projectsformba.blogspot.com
            STORES                  MALLS                      BOTH

                SELF EMPLOYED   SALARIED    STUDENTS    HOUSEWIVES
Projectsformba.blogspot.com




                              Graph no:4




               SHOPPING PLACE AND TIME FOR SHOPPING




                                 30        Projectsformba.blogspot.com
Projectsformba.blogspot.com


                               STORE                    MALLS                BOTH


         10am-1pm                  0.6%                 3.5%                  0.6%


         1pm-5pm                   1.5%                 24%                  10.5%


         5pm-9pm                   1%                   38%                   20%



                                          Table no: 8


     Among those customers who preferred shopping in malls 40% of them like
     shopping between 5pm-9pm and 26% shop between 1pm-5pm.
     Among those customers who preferred both stores and malls 20% of them like to
     shop between 5pm-9pm and 11% preferred shopping between 1pm-5pm.




40
35
30
25
20
15
10
5
0                                             31              Projectsformba.blogspot.com
             10AM-1PM                       1PM-5PM                        5PM-9PM

                                     STORES    MALLS    BOTH
Projectsformba.blogspot.com




                                     Graph no: 5




30

25
               COMPANIONS FOR SHOPPING AND OCCUPATION
20

15

10

 5

 0
     Parents   Husband    Wife             32
                                     Friends     Alone     Projectsformba.blogspot.com
                                                            Family    Parents-  Others
                                                                        Friends

                     Self Employed   Salaried   Students   Housewives
Projectsformba.blogspot.com




                                  Graph no: 6


39% of the customers prefer shopping with friends.
             -27% are salaried and 12% are students.
12% prefer shopping with both parents and friends
             -   6% are salaried and 6% are students.




            OCCUPATION AND MONTHLY SHOPPING EXPENSES


                     SELF         SALARIED           STUDENTS     HOUSEWIVES
                 EMPLOYED
    <1000           1%               1.5%               2%              1%


                                      33              Projectsformba.blogspot.com
Projectsformba.blogspot.com


 1000-3000            3%              31%            18%              3%

 3000-5000            1%              14%             9%              4%

 5000-10000            -              6%             1.5%             3%

   10000>            1.5%               -              -             1.5%



                                   Table no: 9
49% of the customers have a monthly shopping expense of at least Rs
1000-3000.
              -31% among them are salaried with an average monthly income of
              Rs 15000-25000.
              -18% are students.
23% of the customers have a monthly shopping expense of Rs 3000-5000.
              -14% are salaried with a monthly income of Rs 25000-35000.
              -9% are students.




             OCCUPATION, INCOME AND SHOPPING EXPENSES




                                       34           Projectsformba.blogspot.com
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                                                   SALARIED

             5000-15000         15000-25000        25000-35000       35000-45000      45000>

  <1000            -                1%                   -                1%                -

1000-3000        12%               25%                  12%               7%            3%

3000-5000         1%               12%                  5%                3%            4%

5000-10000         -                7%                   -                1%            4%

 10000>            -                 -                   -                 -                -



                                         Table no: 10


  37% of the salaried customers have a monthly shopping expense between
  1000-5000 and from the previous interpretation these customers had an average
  monthly income of Rs 15000-35000 with an average age of 21-30 years.




     RANKING THE IMPORTANT SHOPPING PARAMETERS -OCCUPATION
                                            WISE



                                             35               Projectsformba.blogspot.com
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                                    SELF           SALARIED        STUDENTS             HOUSEWIVES
                             EMPLOYED
             VARIETY             9                      4                 4                    7

            DISCOUNTS                 5                 6                 5                    4

            LOCATION                  6                 8                 8                    6

             BRANDS                   1                 2                 6                    2

              PRICE                   4                 5                 3                    3

              STYLE                   2                 3                 1                    5

             QUALITY                  3                 1                 2                    1

             FABRIC                   7                 7                 7                    8

            AMBIENCE                  8                 9                 9                    9



                                                   Table no: 11
        Self employed-The first three parameters ranked are Brands, Style and Quality.
        Salaried- The first three parameters ranked are Quality, Brands and Style.
        Students- The first three parameters ranked are Style, Quality and Price
        Housewives- The first three parameters ranked are Quality, Brands and Price.




10
 8
 6
 4
 2
 0
                       S




                                  N




                                                                                   Y




                                                                                               IC
       Y




                                                                      E
                                               D




                                                          E




                                                                                                           E
                    NT




                                 O




                                                                                 IT
        T




                                                        IC




                                                                                                         NC
                                             AN




                                                                   YL




                                                                                           BR
     IE




                                I




                                                                               AL
                             AT




                                                      PR
                    U




                                                       36              Projectsformba.blogspot.com
                                                                  ST
                                           BR




                                                                                                        E
   R




                                                                                          FA
               CO




                                                                               U




                                                                                                     BI
                             C
 VA




                                                                              Q
                           LO




                                                                                                    AM
                S
             DI




                           SELF EMPLOYED             SALARIED      STUDENTS            HOUSEWIVES
Projectsformba.blogspot.com




                                   Graph no: 7




RANKING THE IMPORTANT SHOPPING PARAMETERS -INCOME WISE




               5000-150       15000-250        25000-3500   35000-450     45000>

                                          37            Projectsformba.blogspot.com
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                                00            00                  0             00
           VARIETY              5              4                  6             5             3

         DISCOUNTS              6              6                  5             6             4
          LOCATION              7              7                  8             7             8
           BRANDS               2              3                  2             4             1
               PRICE            3              2                  4             3             5

               STYLE            4              5                  3             2             7
           QUALITY              1              1                  1             1             2
               FABRIC           9              8                  7             9             9
          AMBIENCE              8              9                  9             8             6


                                                   Table no: 12
         5000-15000- The first three parameters ranked are Quality, Brands and Price.
         15000-25000- The first three parameters ranked are Quality, Price and Brands.
         25000-35000- The first three parameters ranked are Quality, Brands and Style.
         35000-45000- The first three parameters ranked are Quality, Style and Price.
         45000>- The first three parameters ranked are Brands, Quality and Variety.




10
 8
6
4
2
0                                                      38                Projectsformba.blogspot.com
     VARIETY    DISCOUNT   LOCATION      BRANDS         PRICE         STYLE    QUALITY     FABRIC      AMBIENCE

                   5000-15000        15000-25000       25000-35000       35000-45000     45000 above
Projectsformba.blogspot.com




                                     Graph no: 8




     OVERALL RANKING OF THE PARAMETERS BASED ON PREVIOUS
90                                   RANKINGS
80
70
60
50
40
30
20
10
 0                                        39                   Projectsformba.blogspot.com
                                 Shopping Parameters

VARIETY   DISCOUNTS   LOCATION   BRANDS    PRICE       STYLE    QUALITY   FABRIC   AMBIENCE
Projectsformba.blogspot.com




                                   Graph no: 9


From the graph it is clear that Quality, Brands and Style are ranked higher.
The least ranked parameters are Ambience, Location and Fabric.




                       FAVOURITE SHOPPING STORE
                          (BASED ON OCCUPATION)




                SHOPPERS        WESTSIDE       CENTRAL       LIFESTYLE         OTHERS
                   STOP

                                        40             Projectsformba.blogspot.com
Projectsformba.blogspot.com


       SELF              2%            2%             0.6%            0.6%            -
     EMPLOYED
     SALARIED           24%            15%              7%             1%           5.5%


     STUDENTS           14%           6.5%              2%             2%           3%


 HOUSEWIVES              5%            4%               -              2%           0.6%




                                      Table no: 13


     45% the respondents’ favorite shopping store is Shoppers Stop.
                  -24% are salaried, 14% students and 7% self employed and
                   housewives.
     28% of the respondents prefer going to Westside.
                  -15% are salaried and 6.5% are students.




50
40
30
20
10
0                                           41               Projectsformba.blogspot.com
     SHOPPERS STOP       WESTSIDE           CENTRAL           LIFESTYLE          OTHERS

                                          STORES
Projectsformba.blogspot.com




                              Graph no: 10




    FREQUENCY OF SHOPPING IN SHOPPER STOP AND OCCUPATION




                    ONCE A      ONCE IN      ONCE IN         ONCE A
                     WEEK     TWO WEEKS      THREE           MONTH
                                             WEEKS

                                  42         Projectsformba.blogspot.com
Projectsformba.blogspot.com


    SELF              1%             0.6%                1%            2%
 EMPLOYED
 SALARIED            6.5%            10%                 4%           32%

 STUDENTS            6.5%            6.5%                2%           13%

HOUSEWIVES            2%              2%                 1%            8%



                                 Table no: 14


55% of the respondents come to Shoppers Stop once a month.
             -32% are salaried and 13% are students.
19% come once in two weeks.
             -10% are salaried and 6.5 % are students.
16% come once a week and 8% of them come to Shoppers Stop once in three
weeks.




                                      43            Projectsformba.blogspot.com
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      35


      30


      25


      20


      15


      10


       5


       0
           ONCE A WEEK   ONCE IN TWO WEEKS    ONCE IN THREE      ONCE A MONTH
                                                 WEEKS


                   SELF EMPLOYED   SALARIED       STUDENTS    HOUSE




                                    Graph no: 11




       FREQUENCY OF SHOPPING IN SHOPPER STOP AND INCOME




                    ONCE A             ONCE IN                ONCE IN           ONCE A
                     WEEK           TWO WEEKS                  THREE            MONTH


                                             44                Projectsformba.blogspot.com
Projectsformba.blogspot.com


                                                  WEEKS

 5000-15000            -             3%              1%              8%

15000-25000           9%             8%              2%             30%

25000-35000           2%              -              3%              9%

35000-45000            -             4%                 -            6%

   45000>             2%             3%              3%              5%



                                Table no: 15


58% of the respondents shop in Shoppers Stop once in a month.
       -30% of them have an income of Rs 15000-25000.
       -9% have an income of Rs 25000-35000.
18% shop once in two weeks.
       -8% have an income of Rs 15000-25000.
 13% shop once in a week and 9% of them shop once in three weeks
respectively.




                                     45           Projectsformba.blogspot.com
Projectsformba.blogspot.com


      30



      25



      20



      15



      10



       5



       0
           ONCE A WEEK        ONCE IN TWO      ONCE IN THREE       ONCE A MONTH
                                WEEKS             WEEKS

           5000-15000   15000-25000    25000-35000   35000-45000    45000 above


                                      Graph no: 12




                                          46              Projectsformba.blogspot.com
Projectsformba.blogspot.com


                       FAVORITE BRANDS AND INCOME


                 INCOME                                    BRANDS

                5000-15000                  Lee, Levis, Westside, Weekender and
                                                            Stop.
                15000-25000                    Levis, Reebok, Allen Solly, UCB,
                                            Scullers, Wills, Stop, Kashish, Westside
                                                           and UMM.
                25000-35000                 Lee, Levis, Allen Solly, Westside, Biba,
                                               Fab India, Bossini, Wlls and Van
                                                          Heusen.
                35000-45000                 Levis, Westside, Stop, Allen Solly and
                                                             Wills.
                  45000>                    Addidas, Wills, Biba, Allen Solly, Nike,
                                                  Kashish and Van Heusen.

                                  Table no: 16


   •   5000-15000- Customers falling under this category are price conscious
       and had ranked quality as first. Hence they like Lee, Levis, Westside
       Weekender and Stop.
   •   15000-25000- Customers falling under this category look for variety apart
       from quality and price. Hence they prefer Levis, Reebok, Allen Solly, UCB,
       Scullers, Westside, Stop, Kashish and UMM.
   •   25000-35000- Customers in this category like style and fashion apart from
       quality and brands and therefore their preferences are Levis, Lee, Allen
       Solly, Nike, Westside, Biba, Fab India, Bosssini, Van Heusen and Wills.
   •   35000-45000-These customers too like style and quality but are not brand
       conscious. Their preferences are Levis, Stop, Westside, Allen Solly and
       Wills.




                                       47              Projectsformba.blogspot.com
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   •   45000>- Here customers are highly brand conscious and deem quality
       and variety as important factors. Therefore they like Addidas, Allen Solly,
       Wills, Nike, Biba, Kashish, Van Heusen.




                                       48             Projectsformba.blogspot.com
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            RANKING SHOPPERS STOP WITH OTHER STORES


                SHOPPERS WESTSIDE            CENTRAL         LIFESTYLE      OTHERS
                   STOP
  VARIETY           1.4           1.9             1.8            1.9           1.9

DISCOUNTS            1.8          1.6             1.8            1.7           1.9

  BRANDS             1.2          1.9             1.8            1.9           2.0

   PRICE             1.6          1.5             1.9            1.9           1.9

  DISPLAY            1.2          1.9             1.8            1.9           1.9

  QUALITY            1.4          1.7             1.9            1.9           1.9

  DESIGN             1.3          1.7             1.9            1.9           1.9

 AMBIENCE            1.2          1.8             1.8            1.9           1.9

  FASHION            1.3          1.8             1.9            1.9           1.9

  FABRIC             1.4          1.7             1.8            1.9           1.9

 OVERALL             1.3          1.7             1.9            1.9           1.9


                                   Table no: 17


From the table it is clear that except discount and price customers ranked
Shoppers Stop higher on all other parameters.
Customers ranked Westside higher for discounts and prices.




                                        49              Projectsformba.blogspot.com
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                              HYPOTHESIS TESTING




Ho: the proportion of sample who ranked Shoppers Stop 1st as overall is 50%.
H1: the proportion of sample who ranked Shoppers Stop 1st as overall is more
then 5o%


      Ho; Po=50%
      H1; P1>50%


Therefore; Z=P-Po
            √Po.Qo/n


Hence the value of Zcal=3.6
                    Zά=1.96


            Zcal>Zά, Reject Ho


Therefore the proportion of sample who rank Shoppers Stop 1 st (overall) is more
then 50%.




                                  CHAPTER 5




                                      50             Projectsformba.blogspot.com
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The study on buying behavior of consumer has brought out the following findings
and recommendations.


                      FINDINGS AND INTERPRETATION


Summary: -
   •   The primary customers who come to the ladies ethnic section of Shoppers
       Stop are females.
   •   Among these 62%% of them are salaried with an average monthly income
       of Rs 15000-25000.
   •   The next 31% of customers belong to the students’ category having an
       average age of 20 years.
   •   The rest of the population constitute of self employed and housewives.
   •   Majority of the customers shop once a month between 5pm-9pm and are
       salaried with a monthly salary of Rs 15000-25000 per month and fall
       under the age category of 21-30 Years.
   •   The second major customers who shop once a month are students with
       an average age of 20 years.
   •   63% of the customers like shopping in malls and the preferred time for
       shopping is between 5pm-9pm.
   •   39% of the customers preferred shopping with friends and 12% preferred
       shopping with both friends and parents.




                                       51            Projectsformba.blogspot.com
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   •   Among those who preferred shopping with both parents and friends are
       majority students.
   •   Those customers who have a monthly income of Rs 15000-25000 spend
       at least Rs 1000-3000 per month on shopping.
   •   Customers ranked Quality, Brand, Style and Price as 1st, 2nd, 3rd and
       4th. Variety, Discount, Fabric, Location and Ambience are ranked as 5th,
       6th, 7th, 8th and 9th respectively.
   •   Majority of the customers prefer shopping in Shoppers Stop followed by
       Westside, Central and Lifestyle.
   •   Majority of those who prefer shopping in Shoppers Stop are salaried with
       an income of Rs 15000-25000 per month and are aged between 21-30
       years. This class of customers spends at least Rs 1000-3000 per month
       on shopping in Shoppers Stop.
   •   Customers preferred brands like Lee. Levis, Stop, Biba, Allen Solly, Wills,
       Westside, Kashish and Van Heusen.
   •   Shoppers Stop was ranked as the highest on overall parameters except
       discounts and prices.




                                          52          Projectsformba.blogspot.com
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                               RECOMMENDATIONS


   •   Shoppers Stop should target the salaried and students class as they
       account for the majority visitors to their store.
   •   More branded wears should be kept as the salaried class preferred going
       for brands and are brand conscious.
   •   The merchandise should be stylish and fashionable as it appeals to the
       student class who are more of style conscious.
   •   As ladies spend more time shopping in the same section seating
       arrangements should be made so that their companions (Friends,
       Husbands, Parents and Children) can sit till they finish shopping.
   •   In house brands account for less preferred once and hence stylish,
       fashionable and designer wears should be brought out in order to increase
       the sales.




                                          53               Projectsformba.blogspot.com
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                                   BIBLIOGRAPHY


      •   Philip Kotler; “Marketing Management” 11th edition, Prentice hall, New
          Delhi-2002.
      •   Naresh K Malhotra; “Marketing Research”, 3rd edition, Pearson
          education, Delhi-2003.
      •   Website;Google.com/Indian Retail Industry: Current Scenario by
          Shyamlal Sharma, Sardar Patel     University, Gujrath-2004-2006;
          email- shyamsharma_2001@rediffmail.com/rock_0021@yahoo.co.uk.
      •   Company website; www.Shoppersstop.com/aboutus/management
          structure.




                                       54            Projectsformba.blogspot.com

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A study on consumer buying behaviour at shoppers stop

  • 1. Projectsformba.blogspot.com CHAPTER 1 INTRODUCTION: Consumer Buying Behavior is the behavior that a consumer display while buying the product or a service. Each and every consumer has his/ her own buying behavior that he displays it during purchase of different products. This behavior displayed by the consumer is the result of a number of influences which he/she receives from the environment. These influences can be categorized into four factors viz. Cultural factors, Social factors, Personal factors and Psychological factors. Cultural Factors: - culture, subculture and social classes are particularly important in buying behavior. Culture is the fundamental determinant of a person’s wants and behavior. Each culture consists of smaller subcultures that provide more specific identification and socialization of its members. Subculture includes nationalities, religions, racial groups and geographic regions. Social Factors: - In addition to cultural factors a consumer’s behavior is influenced by such social factors as reference groups, family and social roles and statuses. A person’s reference group consists of all the groups that have a direct (face to face) or indirect influence on the person’s attitudes or behavior. Groups that have direct influence on a person is called as membership groups. Some membership groups are also called as primary groups, such as family, friends, neighbors and coworkers with whom the person interacts fairly continuously and informally. People also belong to secondary groups such as religious, professional and trade union groups which tend to be more formal and require less continuous interaction. Aspirational groups are those a person hopes to join; dissociative groups are those whose values and behavior an individual rejects. The family is the most important consumer buying organization in society, and family members constitute the most influential primary reference group. A person participates in many groups-families, clubs, organizations. The persons position in each group can be defined in terms of 1 Projectsformba.blogspot.com
  • 2. Projectsformba.blogspot.com role and status. A role consists of the activities a person is expected to perform. Each role carries a status. Personal Factors: - A buyer’s decisions are also influenced by personal characteristics. These include the buyer’s age in the life cycle, occupation, economic circumstances, lifestyle and personality and self concept. People buy different goods and services over a lifetime. They eat baby food in the early years, most foods in the growing matured years and special diet in the later years. Occupation also influences consumption patterns. A blue collar worker may buy work clothes, work shoes and lunch boxes. A company president may buy expensive suits, air travel and country club membership. People from same subculture, social classes and occupation may lead quite different lifestyles. A lifestyle is a person’s pattern of living in the world expressed in activities, interest and opinions. Psychological Factors: - A person’s buying choices are influenced by four major factors viz. motivation, perception, learning, believes and attitudes. In the light of growing competition in the Indian retail industry each and every company is trying its best to attract new customers as well as at the same time retain the existing customers. Hence this can be done by keeping a track on the buying behavior of the customers. Therefore my topic on buying behavior of consumer shows the different factors which influence the consumer buying behavior while shopping. 2 Projectsformba.blogspot.com
  • 3. Projectsformba.blogspot.com The Retail Industry: - India's vast middle class and its almost untapped retail industry are key attractions for global retail giants wanting to enter newer markets. Driven by changing lifestyles, strong income growth and favourable demographic patterns, Indian retail is expected to grow 25 per cent annually. Modern retail in India could be worth US$ 175-200 billion by 2016. With the economy booming, competition in the marketplace is fierce. According to 'Retail in India Getting Organised to Drive Growth', a report by AT Kearney and the Confederation of Indian Industry, retail is one of India's fastest growing industries with a 5 per cent compounded annual growth rate and expected revenues of US$ 320 billion in 2007. Rising incomes, increasing consumerism in urban areas and an upswing in rural consumption will fuel this growth to around 7-8 per cent. KSA-Technopak, a retail consulting and research agency, predicts that by 2010, organised retailing in India will cross the US$ 21.5-billion mark from the current size of US$ 7.5 billion. Retail space Retailers in India are the most aggressive in Asia in expanding their businesses, thus creating a huge demand for real estate. Their preferred means of expansion is to increase the number of their outlets in a city, and also expand to other regions, revealed the Jones Lang LaSalle third annual Retailer Sentiment Survey-Asia. Deutsche Bank's research report on 'Building up India' says India's burgeoning middle class will drive up nominal retail sales through 2010 by 10 per cent per annum. The country may have 600 new shopping centres by 2010. Food retail Food dominates the shopping basket in India. The US$ 6.1 billion Indian foods industry, which forms 44 per cent of the entire FMCG sales, is growing at 9 per 3 Projectsformba.blogspot.com
  • 4. Projectsformba.blogspot.com cent and has set the growth agenda for modern trade formats. Since nearly 60 per cent of the average Indian grocery basket comprises non-branded items, the branded food industry is homing in on converting Indian consumers to branded food. The mobile revolution The retail market for mobile phones -- handset, airtime and accessories -- is already a US$ 16.7 billion business, growing at over 20 per cent per year. In comparison, the consumer electronics and appliance market is worth US$ 5.6 billion, with a growth rate that is half of the mobile market. Kids retail When it comes to Indian children, retailers are busy bonding--and branding: Monalisa, the Versace of kids is coming to India. Global lifestyle brand Nautica is bringing Nautica Kids. International brand Zapp tied up with Raymond to foray into kids' apparel. Disney launched exclusive chains which stock character-based stationery. Pantaloon's joint venture with Gini & Jony will set up a retail chain to market kids' apparel. Swiss kidswear brand Milou is collaborating with Tirupur-based Sreeja Hosieries. Turner International India Pvt Ltd. will launch Cartoon Network Townsville and Planet POGO--two theme parks designed around its channels--in the National Capital Region. 4 Projectsformba.blogspot.com
  • 5. Projectsformba.blogspot.com Sahara One Television has also signed a Memorandum of Understanding to source content from Spacetoon Media Group, Middle East's largest kids' entertainment brand for animation and live action content. Leading the kids' retail revolution is the apparel business, which accounts for almost 80 per cent of the revenue, with kids' clothing in India following international fashion trends. According to research firm KSA Technopak, the branded segment comprises US$ 701.7 million of the total kids' apparel market- size of over US$ 3 billion. Industry experts say kids' retailing will touch annual growth of 30-35 per cent. Toys, stationary, sportswear, outerwear, tailored clothing, eyewear, watches, fragrance, footwear, theme parks, TV channels… the segment is growing rapidly at 10 per cent per annum. Margins are in the range of 20-25 per cent (for dealers and distributors), while companies enjoy an average gross margin of about 10 per cent. Agricultural retail Agriculture across India is heralding the country's second Green Revolution. 14 states, including Maharashtra, Punjab, Andhra Pradesh and Rajasthan amended the Agricultural Produce Marketing Committee (APMC) act this year, along the lines of the Model APMC Act, '02, which allows farmers to sell their produce directly to buyers offering them the best price. Agricultural sectors such as horticulture, floriculture, development of seeds, animal husbandry, pisciculture, aqua culture, cultivation of vegetables, mushroom under cultivated conditions and services related to agro and allied sectors are open to 100 per cent FDI through the automatic route. For its e-Choupal scheme, ITC built internet kiosks in rural villages so farmers can access latest information on weather, current market prices, foods-in- demand, etc. 5 Projectsformba.blogspot.com
  • 6. Projectsformba.blogspot.com With a US$ 5.6 billion, multi-year investment in agriculture and retail, Reliance Retail will establish links with farms on several thousand acres in Punjab, West Bengal and Maharashtra. FieldFresh, planning to become India's first large-scale exporter of produce, will annually pay farmers over US$ 30,000 to lease land for vegetables, to hire tractors and to pay their workers. Besides a five-year program with the Punjab government to provide several hundred farmers with four million sweet-orange trees for its Tropicana juices by 2008, PepsiCo--with agriculture exports worth US$ 40 million--also introduced farmers to high-yielding basmati rice, mangoes, potatoes, chilies, peanuts, and barley for its Frito-Lay snacks. Export potential and a rapidly growing domestic demand for reliable produce from new supermarket chains is driving change. With 77 per cent of India's population relying on agriculture for a living, improved efficiency and new markets can benefit a large number of people. International retailers The Australian government's National Food Industry Strategy and Austrade initiated a test marketing food retail in India wherein 12 major Australian food producers have tied up with India-based distributor AB Mauri to sell their products directly at retail outlets. The largest-ever 150-member British business delegation in India committed investments in the areas of food processing, agri retail and manufacturing. It is also likely to press for the liberalisation of sectors like financial & legal services and retail. 6 Projectsformba.blogspot.com
  • 7. Projectsformba.blogspot.com US-based home delivery and logistics company, Specialised Transportation Inc, will enter the Indian market through a strategic alliance with Patel Retail, a subsidiary of Patel Integrated Logistics. Among other big international players, Wal-Mart has announced its plans for India in partnership with Bharti, Tesco is sure to try again, and Carrefour too might finally find the right partner. Retail reform The Government regulations allow 100 per cent FDI in cash and carry through automatic route and 51 per cent in single brand. Besides, the franchise route is available for big operators. Now, the Government also proposes further liberalisation in the retail sector allowing 51 per cent FDI in consumer electronics and sports goods. The retail road ahead The Indian retail market is estimated at US$ 350 billion. But organised retail is estimated at only US$ 8 billion. However, the opportunity is huge--by 2010, organised retail is expected to grow to US$ 22 billion. With the growth of organised retailing estimated at 40 per cent (CAGR) over the next few years, Indian retailing is clearly at a tipping point. India is currently the ninth largest retail market in the world. And it is names of small towns like Dehradun, Vijayawada, Lucknow and Nasik that will power India up the rankings soon. Indian retail industry is going through a transition phase. Most of the retailing in our country is still in the unorganized sector. The spread out of the retails in US and India shows a wide gap between the two countries. Though retailing in India is undergoing an exponential growth, the road ahead is full of challenges. 7 Projectsformba.blogspot.com
  • 8. Projectsformba.blogspot.com What is retailing? The word "Retail" originates from a French-Italian word. Retailer-someone who cuts off or sheds a small piece from something. Retailing is the set of activities that markets products or services to final consumers for their own personal or household use. It does this by organizing their availability on a relatively large scale and supplying them to customers on a relatively small scale. Retailer is a Person or Agent or Agency or Company or Organization who is instrumental in reaching the Goods or Merchandise or Services to the End User or Ultimate Consumer. SCENARIO OF RETAILING IN INDIA Retailing is the most active and attractive sector of last decade. While the retailing industry itself has been present since ages in our country, it is only the recent past that it has witnessed so much dynamism. The emergence of retailing in India has more to do with the increased purchasing power of buyers, especially post-liberalization, increase in product variety, and increase in economies of scale, with the aid of modern supply and distributions solution. Indian retailing today is at an interesting crossroads. The retail sales are at the highest point in history and new technologies are improving retail productivity. though there are many opportunities to start a new retail business, retailers are facing numerous challenges. 8 Projectsformba.blogspot.com
  • 9. Projectsformba.blogspot.com KEY CHALLENGES: 1) LOCATION: "Right Place, Right choice" Location is the most important ingredient for any business that relies on customers, and is typically the prime consideration in a customers store choice. Locations decisions are harder to change because retailers have to either make sustainable investments to buy and develop real estate or commit to long term lease with developers. When formulating decision about where to locate, the retailer must refer to the strategic plan: * Investigate alternative trading areas. * Determine the type of desirable store location * Evaluate alternative specific store sites 2) MERCHANDISE: The primary goal of the most retailers is to sell the right kind of merchandise and nothing is more central to the strategic thrust of the retailing firm. Merchandising consists of activities involved in acquiring particular goods and services and making them available at a place, time and quantity that enable the retailer to reach its goals. Merchandising is perhaps, the most important function for any retail organization, as it decides what finally goes on shelf of the store. 3) PRICING: Pricing is a crucial strategic variable due to its direct relationship with a firm's goal and its interaction with other retailing elements. The importance of pricing decisions is growing because today's customers are looking for good value when they buy merchandise and services. Price is the easiest and quickest variable to change. 9 Projectsformba.blogspot.com
  • 10. Projectsformba.blogspot.com 4) TARGET AUDIENCE: "Consumer the prime mover" "Consumer Pull", however, seems to be the most important driving factor behind the sustenance of the industry. The purchasing power of the customers has increased to a great extent, with the influencing the retail industry to a great extent, a variety of other factors also seem to fuel the retailing boom. 5) SCALE OF OPERATIONS: Scale of operations includes all the supply chain activities, which are carried out in the business. It is one of the challenges that the Indian retailers are facing. The cost of business operations is very high in India. PRESENT INDIAN SCENARIO * Unorganized market: Rs. 583,000 crores * Organized market: Rs.5, 000 crores * 5X growth in organized retailing between 2000-2005 * Over 4,000 new modern Outlets in the last 3 years * Over 5,000,000 sq. ft. of mall space under development * The top 3 modern retailers control over 750,000 sq. ft. of retail space * Over 400,000 shoppers walk through their doors every week * Growth in organized retailing on par with expectations and projections of the last 5 Years: on course to touch Rs. 35,000 crores (US$ 7 Billion) or more by 2005-06 10 Projectsformba.blogspot.com
  • 11. Projectsformba.blogspot.com Major players - Food and grocery - Fashion - Others - Food world - Shoppers' Stop - Vivek's - Subhiksha - Westside - Planet M - Nilgris - Lifestyle - Music World - Adani- Rajiv's - Pyramid - Crossword - Nirma-Radhey - Globus - Life spring TRADITIONAL RETAIL SCENE IN INDIA India is the country having the most unorganized retail market. Traditionally the retail business is run by Mom & Pop having Shop in the front & house at the back. More than 99% retailers function in less than 500Sq.Ft of area. All the merchandise was purchased as per the test & vim and fancies of the proprietor also the pricing was done on ad hock basis or by seeing at the face of customer. Generally the accounts of trading & home are not maintained separately. Profits were accumulated in slow moving & non-moving stocks which were to become redundant or consumed in-house. Thus profits were vanished without their 11 Projectsformba.blogspot.com
  • 12. Projectsformba.blogspot.com knowledge. The Manufactures were to distribute goods through C & F agents to Distributors & Wholesalers. Retailers happen to source the merchandise from Wholesalers & reach to end-users. The merchandise price used to get inflated to a great extent till it reaches from Manufacturer to End-user. Selling prices were largely not controlled by Manufacturers. Branding was not an issue for majority of customers. More than 99% customers are price sensitive & not quality or Brand Sensitive at the same time they are Brand conscious also. Weekly Bazaar in many small tows was held & almost all the commodities were on the scene including livestock. Bargaining was the unwritten law of market. Educational qualification level of these retailers was always low. Hence market was controlled by handful of distributors &/or Wholesalers. Virtually there was only one format of retailing & that was mass retail. Retailer to consumer ratio was very low, for all the categories without exception. Varity in terms of quality, Styles were on regional basis, community based & truly very low range was available at any given single place. Almost all the purchases / (buying) by mass population was need oriented & next turn may be on festivals, Marriages, Birthdays & some specific occasions. Impulsive buying or consumption is restricted to food or vegetables etc. Having extra pair of trousers or Shirts or Casuals & Formals & leisure wear & sports wear & different pair of shoes for occasions is till date is a luxury for majority population except for those living in Metros. Purchasing power of Indian urban consumer is very low and that of Branded merchandise in categories like Apparels, Cosmetics, Shoes, Watches, Beverages, Food, Jewellery, are slowly seeping into the lifeline of Indian City folks. However electronic & electrical home appliances do hold appropriate image into the minds of consumers. Brand name does matter in these white goods categories. In the coming times also majority of organized retailers will find it difficult to keep balance with rest of the unbranded retail market which is very huge. 12 Projectsformba.blogspot.com
  • 13. Projectsformba.blogspot.com INDIAN RETAIL IS MOVING INTO SECOND GEAR 1) FIRST GEAR: (Create awareness) * New retailers driving awareness * High degree of fragmentation * Real estate groups starting retail chains * Consumer expecting 'value for money' as core value 2) SECOND GEAR: (Meet customer expectations) * Consumer-driven * Emergence of pure retailers * Retailers getting multi-locational and multi-format * Global retailers evincing interest in India 3) THIRD GEAR: (Back end management) * Category management * Vendor partnership * Stock turns * Channel synchronization * Consumer acquisition * Customer relation's management 4) FOURTH GEAR: (Consolidation) * Aggressive rollout * Organized retail acquitting significant share * Beginning of cross-border movement * Mergers and acquisitions 13 Projectsformba.blogspot.com
  • 14. Projectsformba.blogspot.com CHAPTER 2 RESEARCH DESIGN: Research design is a frame work or blueprint for conducting the market research project. It details the procedure necessary for obtaining the information needed to structure or solve marketing research problem. Statement of the problem: - To determine the buying behavior of the consumer with respect to ladies ethnic section. Significance of the study: - The study done on the above topic will give an idea of how the shopping behavior of the customers’ changes and what behavior they display while shopping. The project will be help full in finding out what strategies to make in order to fulfill the needs and wants of customers and create a competitive advantage in the retail market. Objectives:- • To determine the customer profile. • To determine the shopping behavior/buying behavior of the customers. • To determine the brand preferences and reasons thereof. Operational concept:- Descriptive study- A type of conclusive research which has it’s major objective the description of something – usually market characteristics or functions. Population -The aggregate of all the elements, sharing some common set of characteristics, comprising the universe for the purpose of the marketing research problem. 14 Projectsformba.blogspot.com
  • 15. Projectsformba.blogspot.com Sample – A subgroup of the elements of the population selected for participation in the study. Primary data – Information that is collected on field in the form of surveys, interviews and observation. Secondary data – Information that is collected through journals, magazines, company brochures, previous reports and government publishing. Questionnaire – Questionnaire is a part of survey where in questions are framed in a structured manner in order to draw information from the respondents regarding the topic. Scaling and Measurement – The assignment of numbers or other symbols to characteristics of objects according to certain prespecified rules is called measurement. The generation of a continuum on which measured objects are located. Hypothesis:- Ho: the proportion of sample who ranked Shoppers Stop 1st is 50%. H1: the proportion of sample who ranked Shoppers Stop 1st is more then 50%. Scope of the study:- The population was limited to only those customers who came to ladies ethnic section only. Methodology:- The type of study used is Descriptive Study Population – all those customers who came to shoppers stop in a month (April 2007). Sample size – 180 Sampling technique – Convenience Sampling Primary data – primary data was collected using a structured questionnaire. Secondary data – secondary data was collected from the company website and brochure, marketing text books. 15 Projectsformba.blogspot.com
  • 16. Projectsformba.blogspot.com Tools and Techniques of data collection:- The technique used to collect the primary data was a Survey. A well structured questionnaire was prepared and given to the respondents to be filled. The information obtained from the questionnaire was edited, cross tabulated and an appropriate test was applied to get the result. The test used was Z test. Limitations:- • Limited time was given for data collection. • Some of the customers were not cooperative. • Responses from the customers were different during weekdays and weekends. • The findings were based on the information given by the customers and can be biased. 16 Projectsformba.blogspot.com
  • 17. Projectsformba.blogspot.com CHAPTER 3 COMPANY PROFILE:- History - The foundation of Shoppers' Stop was laid on October 27, 1991 by the K. Raheja Corp. group of companies. Being amongst India's biggest hospitality and real estate players, the Group crossed yet another milestone with its lifestyle venture - Shoppers' Stop. From its inception, Shoppers' Stop has progressed from being a single brand shop to becoming a Fashion & Lifestyle store for the family. Today, Shoppers' Stop is a household name, known for its superior quality products, services and above all, for providing a complete shopping experience. With an immense amount of expertise and credibility, Shoppers’ Stop has become the highest benchmark for the Indian retail industry. In fact, the company’s continuing expansion plans aim to help Shoppers’ Stop meet the challenges of the retail industry in an even better manner than it does today. Nature – Shoppers Stop is a retail store which sells multiple branded products. Products and Services – Shoppers Stop deals with Apparels (Men, Women and Children) -Ladies western wear, Ladies ethnic wear, Men’s formal, Men’s semiformal, Casual wear, Sports wear and Kids wear. Accessories (men and women) -Cosmetics, Perfumes, Goggles, Watches, Handbags, Footwear, Fashion Jewellary. Gifts and Toys. 17 Projectsformba.blogspot.com
  • 18. Projectsformba.blogspot.com Organizational Structure - MANAGING DIRECTOR CHIEF EXECUTIVE OFFICER CHIEF FINANCE OFFICER General General General General General manager manager manager manager manager ROM ROM DM DM CSE CSE 18 Projectsformba.blogspot.com
  • 19. Projectsformba.blogspot.com Competitors – The major competitors of Shoppers Stop are:- Westside. Central. Lifestyle. Some of the other competitors are:- Pantaloons. Globus. Big Bazar. Number of branches – Currently Shoppers Stop has twenty branches across India and they are:- Delhi- Ansal Plaza. Ghaziabad – Indirapuram. Gurgaon - Metropolitian Mall. Jaipur - Malviya Nagar. Lucknow - Gomti Nagar. Bangalore - Bannerghatta Road. Bangalore - Bannerghatta Road. Chennai – Chetpet. Mumbai – Andheri. Mumbai – Bandra. Mumbai – Chembur. Mumbai – Juhu. Mumbai – Malad. Mumbai – Mulund. Pune - Shivaji Nagar. Pune – Camp. Kolkata - Forum Mall. Kolkata - Salt Lake City. 19 Projectsformba.blogspot.com
  • 20. Projectsformba.blogspot.com CHAPTER 4 ANALYSIS AND INTERPRETATION In this chapter analysis carried out on the research is reported AGE, GENDER AND OCCUPATION SELF EMPLOYED SALARIED STUDENTS Males Females Males Females Males Females <20 YEARS - - - 0.6% 3.2% 13% 21-30 YEARS 2% 2% 12% 44% 1.2% 14% 31-40 YEARS - 2% 3% 2% - 0.6% 41> YEARS 0.6% - 0.6% - - - Table no: 1 80% of the customers who come to shoppers stop are females and 20% are males. 75% among them fall under the age category of 21-30 years. 62% of the customers are salaried. -44% are females and 12% are males. 31% of the customers are students. -27% are females and 4% are males. 6% are self employed. 13% are housewives. 20 Projectsformba.blogspot.com
  • 21. Projectsformba.blogspot.com INCOME, OCCUPATION AND GENDER SELF EMPLOYED SALARIED Males Females Males Females 5000-15000 1% 1% 1% 9% 15000-25000 2% 2% 10% 36% 25000-35000 1% 1% 4% 10% 35000-45000 - - 2% 8% 45000> 1% 1% 6% 5% Table no:2 Among the salaried customers 36% are females and 10% are males both have a monthly income of Rs 15000-25000. It is seen that females accounts to the majority salary earner when compare to males who contribute to only 10% among total salaried customers. 21 Projectsformba.blogspot.com
  • 22. Projectsformba.blogspot.com FREQUENCY OF SHOPPING AND OCCUPATION SELF SALARIED STUDENTS HOUSEWIVES EPMLOYED ONCE A 1% 16% 10% 7% WEEK ONCE IN 2% 9% 5% 1% TWO WEEKS ONCE IN - 6% 2% 0.5% THREE WEEKS ONCE A 3% 23% 11% 3% MONTH Table no: 3 40% of the customers shop at least once a month. -23% are salaried and 11% are students. 34% of the customers shop once a week. -16% are salaried and 10% are students. Referring from the previous slide salaried customers had monthly income of Rs 15000-25000 and belonged to the age category of 21-30 years. 22 Projectsformba.blogspot.com
  • 23. Projectsformba.blogspot.com 25 20 15 10 5 0 ONCE A WEEK ONCE IN TWO ONCE IN THREE ONCE A MONTH WEEKS WEEKS SELF EMPLOYED SALARIED STUDENTS HUOSEWIVES Graph no: 1 FREQUENCY OF SHOPPING, OCCUPATION AND TIME 23 Projectsformba.blogspot.com
  • 24. Projectsformba.blogspot.com (Self Employed and Salaried) SELF EMPLOYED SALARIED 10am- 1pm-5 5pm-1 10am- 1pm-5 5pm-1 1pm pm 0pm 1pm pm 0pm ONCE IN A WEEK - 2% - - 9% 18% ONCE IN TWOWEEKS - 1% 2% 2% 3% 12% ONCE IN THREE - - - - 4% 5% WEEKS ONCE A MONTH - 1% 3% 5% 9% 23% Table no: 4 63% of the shoppers prefer shopping between 5pm-9pm among whom 92% are salaried. 29% prefer shopping between 1pm-5pm among whom 86% are salaried. 24 Projectsformba.blogspot.com
  • 25. Projectsformba.blogspot.com 60 50 40 30 20 10 0 10AM-1PM 1PM-5PM 5PM-9PM SELF EMPLOYED SALARIED Graph no: 2 FREQUENCY OF SHOPPING, OCCUPATION AND TIME (Students and Housewives) 25 Projectsformba.blogspot.com
  • 26. Projectsformba.blogspot.com STUDENTS HOUSEWIVES 10am- 1pm-5 5pm-1 10am- 1pm-5 5pm-1 1pm pm 0pm 1pm pm 0pm ONCE IN A WEEK - 12% 13% - 9% 9% ONCE IN TWOWEEKS - 4% 7% - 3% - ONCE IN THREE - 1% 3% - 1% - WEEKS ONCE A MONTH 3% 12% 13% - 4% 4% Table no: 5 49% of the shoppers prefer shopping between 5pm-9pm, among them 73% are students. 46% of the shoppers like to shop between 1pm-5pm, among whom 63% are students. 40 30 20 10 26 Projectsformba.blogspot.com 0 10AM-1PM 1PM-5PM 5PM-10PM STUDENTS HOUSEWIVES
  • 27. Projectsformba.blogspot.com Graph no: 3 FREQUENCY OF SHOPPING OF EACH SALARY GROUP 27 Projectsformba.blogspot.com
  • 28. Projectsformba.blogspot.com ONCE A ONCE IN ONCE IN ONCE A WEEK TWO WEEKS THREE MONTH WEEKS 5000-15000 2% 5% 1% 5% 15000-25000 15% 7% 4% 21% 25000-35000 4% 2% 3% 9% 35000-45000 4% 1% 1% 4% 45000> 5% 4% 2% 2% Table no: 6 63% prefer shopping in malls among whom 33% are salaried and 20% students. 33% like shopping in both stores and malls among whom 19% are salaried and 8% are students. OCCUPATION AND PREFERED PLACE OF SHOPPING SELF SALARIED STUDENTS HOUSEWIVES EMPLOYED 28 Projectsformba.blogspot.com
  • 29. Projectsformba.blogspot.com STORE 0.5% 2% - 0.5% MALLS 3% 33% 20% 7% BOTH 1.5% 19% 8% 4.5% Table no: 7 63% prefer shopping in malls among whom 33% are salaried and 20% students. 33% like shopping in both stores and malls among whom 19% are salaried and 8% are students. 40 30 20 10 0 29 Projectsformba.blogspot.com STORES MALLS BOTH SELF EMPLOYED SALARIED STUDENTS HOUSEWIVES
  • 30. Projectsformba.blogspot.com Graph no:4 SHOPPING PLACE AND TIME FOR SHOPPING 30 Projectsformba.blogspot.com
  • 31. Projectsformba.blogspot.com STORE MALLS BOTH 10am-1pm 0.6% 3.5% 0.6% 1pm-5pm 1.5% 24% 10.5% 5pm-9pm 1% 38% 20% Table no: 8 Among those customers who preferred shopping in malls 40% of them like shopping between 5pm-9pm and 26% shop between 1pm-5pm. Among those customers who preferred both stores and malls 20% of them like to shop between 5pm-9pm and 11% preferred shopping between 1pm-5pm. 40 35 30 25 20 15 10 5 0 31 Projectsformba.blogspot.com 10AM-1PM 1PM-5PM 5PM-9PM STORES MALLS BOTH
  • 32. Projectsformba.blogspot.com Graph no: 5 30 25 COMPANIONS FOR SHOPPING AND OCCUPATION 20 15 10 5 0 Parents Husband Wife 32 Friends Alone Projectsformba.blogspot.com Family Parents- Others Friends Self Employed Salaried Students Housewives
  • 33. Projectsformba.blogspot.com Graph no: 6 39% of the customers prefer shopping with friends. -27% are salaried and 12% are students. 12% prefer shopping with both parents and friends - 6% are salaried and 6% are students. OCCUPATION AND MONTHLY SHOPPING EXPENSES SELF SALARIED STUDENTS HOUSEWIVES EMPLOYED <1000 1% 1.5% 2% 1% 33 Projectsformba.blogspot.com
  • 34. Projectsformba.blogspot.com 1000-3000 3% 31% 18% 3% 3000-5000 1% 14% 9% 4% 5000-10000 - 6% 1.5% 3% 10000> 1.5% - - 1.5% Table no: 9 49% of the customers have a monthly shopping expense of at least Rs 1000-3000. -31% among them are salaried with an average monthly income of Rs 15000-25000. -18% are students. 23% of the customers have a monthly shopping expense of Rs 3000-5000. -14% are salaried with a monthly income of Rs 25000-35000. -9% are students. OCCUPATION, INCOME AND SHOPPING EXPENSES 34 Projectsformba.blogspot.com
  • 35. Projectsformba.blogspot.com SALARIED 5000-15000 15000-25000 25000-35000 35000-45000 45000> <1000 - 1% - 1% - 1000-3000 12% 25% 12% 7% 3% 3000-5000 1% 12% 5% 3% 4% 5000-10000 - 7% - 1% 4% 10000> - - - - - Table no: 10 37% of the salaried customers have a monthly shopping expense between 1000-5000 and from the previous interpretation these customers had an average monthly income of Rs 15000-35000 with an average age of 21-30 years. RANKING THE IMPORTANT SHOPPING PARAMETERS -OCCUPATION WISE 35 Projectsformba.blogspot.com
  • 36. Projectsformba.blogspot.com SELF SALARIED STUDENTS HOUSEWIVES EMPLOYED VARIETY 9 4 4 7 DISCOUNTS 5 6 5 4 LOCATION 6 8 8 6 BRANDS 1 2 6 2 PRICE 4 5 3 3 STYLE 2 3 1 5 QUALITY 3 1 2 1 FABRIC 7 7 7 8 AMBIENCE 8 9 9 9 Table no: 11 Self employed-The first three parameters ranked are Brands, Style and Quality. Salaried- The first three parameters ranked are Quality, Brands and Style. Students- The first three parameters ranked are Style, Quality and Price Housewives- The first three parameters ranked are Quality, Brands and Price. 10 8 6 4 2 0 S N Y IC Y E D E E NT O IT T IC NC AN YL BR IE I AL AT PR U 36 Projectsformba.blogspot.com ST BR E R FA CO U BI C VA Q LO AM S DI SELF EMPLOYED SALARIED STUDENTS HOUSEWIVES
  • 37. Projectsformba.blogspot.com Graph no: 7 RANKING THE IMPORTANT SHOPPING PARAMETERS -INCOME WISE 5000-150 15000-250 25000-3500 35000-450 45000> 37 Projectsformba.blogspot.com
  • 38. Projectsformba.blogspot.com 00 00 0 00 VARIETY 5 4 6 5 3 DISCOUNTS 6 6 5 6 4 LOCATION 7 7 8 7 8 BRANDS 2 3 2 4 1 PRICE 3 2 4 3 5 STYLE 4 5 3 2 7 QUALITY 1 1 1 1 2 FABRIC 9 8 7 9 9 AMBIENCE 8 9 9 8 6 Table no: 12 5000-15000- The first three parameters ranked are Quality, Brands and Price. 15000-25000- The first three parameters ranked are Quality, Price and Brands. 25000-35000- The first three parameters ranked are Quality, Brands and Style. 35000-45000- The first three parameters ranked are Quality, Style and Price. 45000>- The first three parameters ranked are Brands, Quality and Variety. 10 8 6 4 2 0 38 Projectsformba.blogspot.com VARIETY DISCOUNT LOCATION BRANDS PRICE STYLE QUALITY FABRIC AMBIENCE 5000-15000 15000-25000 25000-35000 35000-45000 45000 above
  • 39. Projectsformba.blogspot.com Graph no: 8 OVERALL RANKING OF THE PARAMETERS BASED ON PREVIOUS 90 RANKINGS 80 70 60 50 40 30 20 10 0 39 Projectsformba.blogspot.com Shopping Parameters VARIETY DISCOUNTS LOCATION BRANDS PRICE STYLE QUALITY FABRIC AMBIENCE
  • 40. Projectsformba.blogspot.com Graph no: 9 From the graph it is clear that Quality, Brands and Style are ranked higher. The least ranked parameters are Ambience, Location and Fabric. FAVOURITE SHOPPING STORE (BASED ON OCCUPATION) SHOPPERS WESTSIDE CENTRAL LIFESTYLE OTHERS STOP 40 Projectsformba.blogspot.com
  • 41. Projectsformba.blogspot.com SELF 2% 2% 0.6% 0.6% - EMPLOYED SALARIED 24% 15% 7% 1% 5.5% STUDENTS 14% 6.5% 2% 2% 3% HOUSEWIVES 5% 4% - 2% 0.6% Table no: 13 45% the respondents’ favorite shopping store is Shoppers Stop. -24% are salaried, 14% students and 7% self employed and housewives. 28% of the respondents prefer going to Westside. -15% are salaried and 6.5% are students. 50 40 30 20 10 0 41 Projectsformba.blogspot.com SHOPPERS STOP WESTSIDE CENTRAL LIFESTYLE OTHERS STORES
  • 42. Projectsformba.blogspot.com Graph no: 10 FREQUENCY OF SHOPPING IN SHOPPER STOP AND OCCUPATION ONCE A ONCE IN ONCE IN ONCE A WEEK TWO WEEKS THREE MONTH WEEKS 42 Projectsformba.blogspot.com
  • 43. Projectsformba.blogspot.com SELF 1% 0.6% 1% 2% EMPLOYED SALARIED 6.5% 10% 4% 32% STUDENTS 6.5% 6.5% 2% 13% HOUSEWIVES 2% 2% 1% 8% Table no: 14 55% of the respondents come to Shoppers Stop once a month. -32% are salaried and 13% are students. 19% come once in two weeks. -10% are salaried and 6.5 % are students. 16% come once a week and 8% of them come to Shoppers Stop once in three weeks. 43 Projectsformba.blogspot.com
  • 44. Projectsformba.blogspot.com 35 30 25 20 15 10 5 0 ONCE A WEEK ONCE IN TWO WEEKS ONCE IN THREE ONCE A MONTH WEEKS SELF EMPLOYED SALARIED STUDENTS HOUSE Graph no: 11 FREQUENCY OF SHOPPING IN SHOPPER STOP AND INCOME ONCE A ONCE IN ONCE IN ONCE A WEEK TWO WEEKS THREE MONTH 44 Projectsformba.blogspot.com
  • 45. Projectsformba.blogspot.com WEEKS 5000-15000 - 3% 1% 8% 15000-25000 9% 8% 2% 30% 25000-35000 2% - 3% 9% 35000-45000 - 4% - 6% 45000> 2% 3% 3% 5% Table no: 15 58% of the respondents shop in Shoppers Stop once in a month. -30% of them have an income of Rs 15000-25000. -9% have an income of Rs 25000-35000. 18% shop once in two weeks. -8% have an income of Rs 15000-25000. 13% shop once in a week and 9% of them shop once in three weeks respectively. 45 Projectsformba.blogspot.com
  • 46. Projectsformba.blogspot.com 30 25 20 15 10 5 0 ONCE A WEEK ONCE IN TWO ONCE IN THREE ONCE A MONTH WEEKS WEEKS 5000-15000 15000-25000 25000-35000 35000-45000 45000 above Graph no: 12 46 Projectsformba.blogspot.com
  • 47. Projectsformba.blogspot.com FAVORITE BRANDS AND INCOME INCOME BRANDS 5000-15000 Lee, Levis, Westside, Weekender and Stop. 15000-25000 Levis, Reebok, Allen Solly, UCB, Scullers, Wills, Stop, Kashish, Westside and UMM. 25000-35000 Lee, Levis, Allen Solly, Westside, Biba, Fab India, Bossini, Wlls and Van Heusen. 35000-45000 Levis, Westside, Stop, Allen Solly and Wills. 45000> Addidas, Wills, Biba, Allen Solly, Nike, Kashish and Van Heusen. Table no: 16 • 5000-15000- Customers falling under this category are price conscious and had ranked quality as first. Hence they like Lee, Levis, Westside Weekender and Stop. • 15000-25000- Customers falling under this category look for variety apart from quality and price. Hence they prefer Levis, Reebok, Allen Solly, UCB, Scullers, Westside, Stop, Kashish and UMM. • 25000-35000- Customers in this category like style and fashion apart from quality and brands and therefore their preferences are Levis, Lee, Allen Solly, Nike, Westside, Biba, Fab India, Bosssini, Van Heusen and Wills. • 35000-45000-These customers too like style and quality but are not brand conscious. Their preferences are Levis, Stop, Westside, Allen Solly and Wills. 47 Projectsformba.blogspot.com
  • 48. Projectsformba.blogspot.com • 45000>- Here customers are highly brand conscious and deem quality and variety as important factors. Therefore they like Addidas, Allen Solly, Wills, Nike, Biba, Kashish, Van Heusen. 48 Projectsformba.blogspot.com
  • 49. Projectsformba.blogspot.com RANKING SHOPPERS STOP WITH OTHER STORES SHOPPERS WESTSIDE CENTRAL LIFESTYLE OTHERS STOP VARIETY 1.4 1.9 1.8 1.9 1.9 DISCOUNTS 1.8 1.6 1.8 1.7 1.9 BRANDS 1.2 1.9 1.8 1.9 2.0 PRICE 1.6 1.5 1.9 1.9 1.9 DISPLAY 1.2 1.9 1.8 1.9 1.9 QUALITY 1.4 1.7 1.9 1.9 1.9 DESIGN 1.3 1.7 1.9 1.9 1.9 AMBIENCE 1.2 1.8 1.8 1.9 1.9 FASHION 1.3 1.8 1.9 1.9 1.9 FABRIC 1.4 1.7 1.8 1.9 1.9 OVERALL 1.3 1.7 1.9 1.9 1.9 Table no: 17 From the table it is clear that except discount and price customers ranked Shoppers Stop higher on all other parameters. Customers ranked Westside higher for discounts and prices. 49 Projectsformba.blogspot.com
  • 50. Projectsformba.blogspot.com HYPOTHESIS TESTING Ho: the proportion of sample who ranked Shoppers Stop 1st as overall is 50%. H1: the proportion of sample who ranked Shoppers Stop 1st as overall is more then 5o% Ho; Po=50% H1; P1>50% Therefore; Z=P-Po √Po.Qo/n Hence the value of Zcal=3.6 Zά=1.96 Zcal>Zά, Reject Ho Therefore the proportion of sample who rank Shoppers Stop 1 st (overall) is more then 50%. CHAPTER 5 50 Projectsformba.blogspot.com
  • 51. Projectsformba.blogspot.com The study on buying behavior of consumer has brought out the following findings and recommendations. FINDINGS AND INTERPRETATION Summary: - • The primary customers who come to the ladies ethnic section of Shoppers Stop are females. • Among these 62%% of them are salaried with an average monthly income of Rs 15000-25000. • The next 31% of customers belong to the students’ category having an average age of 20 years. • The rest of the population constitute of self employed and housewives. • Majority of the customers shop once a month between 5pm-9pm and are salaried with a monthly salary of Rs 15000-25000 per month and fall under the age category of 21-30 Years. • The second major customers who shop once a month are students with an average age of 20 years. • 63% of the customers like shopping in malls and the preferred time for shopping is between 5pm-9pm. • 39% of the customers preferred shopping with friends and 12% preferred shopping with both friends and parents. 51 Projectsformba.blogspot.com
  • 52. Projectsformba.blogspot.com • Among those who preferred shopping with both parents and friends are majority students. • Those customers who have a monthly income of Rs 15000-25000 spend at least Rs 1000-3000 per month on shopping. • Customers ranked Quality, Brand, Style and Price as 1st, 2nd, 3rd and 4th. Variety, Discount, Fabric, Location and Ambience are ranked as 5th, 6th, 7th, 8th and 9th respectively. • Majority of the customers prefer shopping in Shoppers Stop followed by Westside, Central and Lifestyle. • Majority of those who prefer shopping in Shoppers Stop are salaried with an income of Rs 15000-25000 per month and are aged between 21-30 years. This class of customers spends at least Rs 1000-3000 per month on shopping in Shoppers Stop. • Customers preferred brands like Lee. Levis, Stop, Biba, Allen Solly, Wills, Westside, Kashish and Van Heusen. • Shoppers Stop was ranked as the highest on overall parameters except discounts and prices. 52 Projectsformba.blogspot.com
  • 53. Projectsformba.blogspot.com RECOMMENDATIONS • Shoppers Stop should target the salaried and students class as they account for the majority visitors to their store. • More branded wears should be kept as the salaried class preferred going for brands and are brand conscious. • The merchandise should be stylish and fashionable as it appeals to the student class who are more of style conscious. • As ladies spend more time shopping in the same section seating arrangements should be made so that their companions (Friends, Husbands, Parents and Children) can sit till they finish shopping. • In house brands account for less preferred once and hence stylish, fashionable and designer wears should be brought out in order to increase the sales. 53 Projectsformba.blogspot.com
  • 54. Projectsformba.blogspot.com BIBLIOGRAPHY • Philip Kotler; “Marketing Management” 11th edition, Prentice hall, New Delhi-2002. • Naresh K Malhotra; “Marketing Research”, 3rd edition, Pearson education, Delhi-2003. • Website;Google.com/Indian Retail Industry: Current Scenario by Shyamlal Sharma, Sardar Patel University, Gujrath-2004-2006; email- shyamsharma_2001@rediffmail.com/rock_0021@yahoo.co.uk. • Company website; www.Shoppersstop.com/aboutus/management structure. 54 Projectsformba.blogspot.com